The NFC-driven mobile payment revolution may be coming to an abrupt end before it ever really gained any momentum. Analysts with Gartner Inc., a technology research firm, say that the prospect of mobile payments may be interesting, but the technology needed to facilitate this form of commerce is much more complex than the big players would have consumers believe.
Many have stated before that the instigation of mobile commerce is seldom a singular effort. Companies interested in pioneering the field of mobile payments must garner the support of several thousand banks around the world before their payment platforms can even become feasible.
Gartner is not alone in this assessment of the budding industry. eBay CEO John Donahoe, in an interview from the recent D: All Things Digital conference, argues that while NFC technology holds promise for businesses, few retailers would put forth the effort to incorporate mobile payment applications. Point-of-sale is a vital part of NFC mobile payments and if businesses are not willing to adopt the necessary technologies to foster the growing industry, mobile commerce may falter.
Donahoe notes that PayPal will come to dominate the world of mobile commerce, edging out competition from Google, Isis and Apple. PayPal has been in the business of mobile commerce for years now, far before NFC technology began to emerge in the field. Donahoe believes that the lack of competition and industry standards will serve as a benefit to the payment giant, as they will be able to etch out their own path to success.